Act On Collective Damages In Class Actions And Class Action Register In Effect As Of 1 January 2020

On 4 December 2019, two decrees relating to new legislation on collective actions were published in the Dutch State Gazette. These decrees confirm the effective date and specify the mechanics for the Class Action Register.

The first decree confirms that the new Act on Collective Damages in Class Actions (WAMCA) will enter into effect as of 1 January 2020. Please refer to our news item of 20 March 2019 for the main changes that the WAMCA brings. Most importantly, claims in class actions filed after the WAMCA taking effect can relate to monetary damages in case they concern events on or after 15 November 2016. Although the Dutch class action system has always been at the forefront of Europe, monetary damages were previously unavailable in a class action.

Class Action Register

Another important change that the WAMCA introduces is a lead plaintiff system that is in some ways comparable to the system used in the US. This is what the second decree is all about. This 'Class Action Register Decree' appoints the Judiciary Council (Raad voor de Rechtspraak) as the authority that keeps a central register for class actions relating to the same event. Dutch courts will from now on stay new class actions for three months to enable other claim organisations to bring their class action(s) for the same events. Subsequently, the court time can designate an 'exclusive representative' for the class if...